Through Citizens Bank, undergraduate and graduate students and their parents have options for borrowing to help finance education needs. The lender also offers refinancing options for qualified borrowers and perks like a loyalty discount for bank account holders.

Citizens Financial Group, Inc., is the 13th largest retail bank in the United States, managing more than $130 billion in net assets. The bank operates more than 1,200 branches throughout the country as well as a large network of ATMs. Citizens Bank provides access to a slew of financial products and services, including deposit accounts and checking accounts, personal and business lending, and student loan options.

The financial institution was founded in 1828, making it one of the oldest banks still in operation today. Headquartered in Rhode Island, Citizens Bank serves customers predominately in East Coast states, but the financial institution has a presence around the country.

Similar to other leading student loan lenders, Citizens Bank recently began offering private loan options for students and their parents with a variety of loan terms, interest rates, and repayment plans. In this review, we will break down the options they offer for private undergraduate, graduate, parent, and refinanced student loans for qualified borrowers.

Citizens Bank Student Loans Overview

One of the reasons Citizens Bank is a leading student loan lender is because it offers loan solutions for nearly all types of students. The bank provides undergraduate private loans, graduate private loans, parent student loans, and student loan refinancing. Borrowers must be a U.S. citizen or permanent resident to apply, and they must be at least 18 years old. For students currently in school, Citizens Bank also requires that borrowers be enrolled at least half-time at an eligible institution.

The financial institution also has credit requirements and credit score minimums borrowers must meet, or a qualified co-signer must be included as part of the loan application process. International students may also apply so long as they have a U.S. citizen or permanent resident apply as a co-signer.

Citizens Bank can approve a borrower for a private student loan in as few as two business days, provided all the information submitted with an application is verifiable. The application process is simple through the bank’s online platform and funding can be sent directly to the school where the student is earning his or her degree.

Below are in-depth details about each of the private student loan offerings from Citizens Bank, as well as information about customer service, loan payments, and how to refinance a loan.

Private Student Loans for Undergraduates

Eligibility Requirements

Undergraduate students can apply for a private student loan with Citizens Bank so long as they are enrolled at an eligible institution. Borrowers must have a strong credit history or a qualified co-signer to receive approval from the bank, and they must provide information about their income, employer, the name of the school they attend, and total cost of attendance based on the school’s award letter.

Each borrower listed on an application must also provide their name, address, and contact information. All applications are submitted online. Private loans vary from federal loans because of the need for good credit and a credit check. A credit check isn't required for most federal student loans.

Interest Rates & Term Lengths

The terms of a private student loan for an undergraduate student vary depending on the amount of money borrowed and the repayment term selected.

Citizens Bank offers five-, 10-, and 15-year terms, and interest rates are either variable or fixed. Variable rates range from 4.26% up to 12.23% APR, and fixed rates range from 5.25% to 12.19% APR.

More Information

Borrowers can opt for immediate repayment, interest-only repayment, or a deferred monthly payment option. Citizens Bank also offers anywhere from a 0.25 up to a 0.50% interest rate discount, a single application for multi-year disbursements, and a total loan amount of $100,000 for undergraduate students. In regard to the interest rate discounts, there is an automatic payment discount of 0.25% and another 0.25% discount for those who already have a Citizens Bank account. To learn more about these discounts, check out Citizens Bank's student loans page.

Private Student Loan for Graduate Students

Eligibility Requirements

Similar to undergraduate student loans from Citizens Bank, graduate-level students may also qualify for private loans with the financial institution. Graduate students must be enrolled at an eligible institution to qualify, and they may need to provide proof of income, a strong credit history, and score, and verify the total cost of attendance with the school.

Like undergraduate loans, graduate private student loans from Citizens Bank require borrowers to be U.S. citizens, and if they cannot qualify based on credit and income, a co-signer may be added to an application.

Interest Rates & Term Lengths

For graduate loans from the bank, borrowers can elect immediate repayment, interest-only repayment, or deferred repayment while in school. Loans have either fixed or variable interest rates, with fixed rates ranging from 5.74% to 11.95% APR and variable rates from 4.19% up to 11.92% APR.

More Information

Citizens Bank offers the same discounts, up to 0.50%, on interest rates for eligible borrowers. The maximum loan amount from the bank depends on the type of graduate degree program a student is enrolled in but could be up to $350,000 for healthcare students or $225,000 for law or MBA students. Citizens Bank also offers multi-year approval for graduate student loans.

Private Student Loan for Parents

Eligibility Requirements

Citizens Bank also offers private student loans for parents. Individuals applying for a parent student loan with the bank must be US citizens or permanent residents and have a student enrolled at least half-time at an eligible institution. Borrowers must have strong credit to qualify, as well as verifiable income.

Parents applying for a student loan must also provide the student’s total cost of attendance based on the school’s award letter, his or her anticipated graduation date, and the loan period and amount requested. Applications for parent student loans are also submitted online.

Product Information

Variable interest rates range from 5.17% to 8.49% APR, while fixed interest rates range from the lowest rates of 5.74% to 8.56% APR. A 0.50% interest rate discount is available to qualified borrowers, and a multi-year approval is also an option for parent private student loans.

Parent borrowers may take out up to $350,000 with Citizens Bank based on the credit history and income of the primary borrower. This is far higher than many other parent student loans offered by private institutions. Repayment options are limited to 5 or 10 year terms, and parents can choose between immediate monthly repayment or interest-only repayment while the student is in school.

Variable interest rates range from 5.17% to 8.49% APR, while fixed interest rates range from the lowest rates of 5.74% to 8.56% APR. A 0.50% interest rate discount is available to qualified borrowers, and a multi-year approval is also an option for parent private student loans.

Citizens Bank Student Loan Refinance

What we like:Associate Degrees accepted for refinancing and 24/7 customer service

Citizens Bank Student Loan Refinancing

Citizens Bank provides private ﻿student loan refinancing to undergraduate and graduate students once they have left school. With a refinanced loan through Citizens Bank, borrowers must have graduated from an eligible institution and not be in default on their current student loans.

Eligibility Requirements

Undergraduate and graduate students must have strong credit to qualify, as well as verifiable income. If this is not the case, a co-signer may be added to a loan application to strengthen the chance for approval.

Co-signer release is available after 36 consecutive, on-time payments are made to a refinanced loan through Citizens Bank.

Interest Rates & Term Lengths

Borrowers who refinance their federal or private student loans with Citizens Bank can select a repayment term of 5, 10, 15, or 20 years and repayment begins immediately.

Variable interest rates for a refinanced loan range from 2.72% up to 8.32% APR, while fixed interest rates range from 3.75% up to 8.69% APR.

More Information

A minimum of $10,000 in student debt is required to refinance with Citizens Bank and the maximum depends on the type of degree earned and total outstanding student loan debt to be refinanced under the new loan. Citizens Bank extends is 0.50% interest rate discount to refinanced loans as well, and applications can be submitted quickly and easily online.

Student Loan Refinancing for Parents

Parents who took out a student loan, either federal or private, have an option to refinance with Citizens Bank as well. A parent refinance student loan is available to U.S. citizens who have a student either currently enrolled in or graduated from an eligible institution. Parents may qualify if they have a strong credit history and verifiable income.

Parents who refinance a parent student loan with Citizens Bank have a single repayment option that requires immediate payments. However, parent borrowers may select a repayment term of 5, 10, 15, or 20 years with either a variable or fixed interest rate. Variable rates range from 2.72% to 7.52% APR and fixed rates range from 4.69% to 7.89% APR. An interest rate discount of up to 0.50% is also available on parent refinanced student loans with Citizens Bank. Parent borrowers can submit a fast application online to see if they qualify.

Alternatives to Citizens Bank

Although Citizens Bank offers a variety of undergraduate, graduate, parent, and refinanced student loans, it is important for borrowers to shop around before making a final decision. There are other lenders, both traditional banks and non-conventional online lenders, that offer private student loans with comparable or, in some cases, lower interest rates and more flexible repayment terms.

Students who are currently enrolled in school may also want to look for scholarship opportunities, grants, and federal student loans before applying for a private student loan with Citizens Bank.

The Verdict

Citizens Bank has one of the most comprehensive private student loan programs available to nearly all types of students and their parents. Interest rates and repayment terms, and rate reduction options are competitive, and borrowers have options to add a co-signer if their credit history or income is not high enough to qualify on their own.

Citizens Bank is a smart place to begin the search for private student loans as an undergrad, graduate, or graduated student or parent of a student, but it is crucial to get multiple quotes from other lenders to ensure your loan is affordable.

Author: Melissa Horton

Melissa Horton has worked in financial services for the past 13 years, helping clients understand the often complex vehicles available for both lending and investment needs. She is passionate about financial literacy and strives to educate clients and the general public to empower them in making smart financial decisions.

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Student Loan Rate Disclosure: Variable rate, based on the one-month London Interbank Offered Rate ("LIBOR") published in The Wall Street Journal on the twenty-fifth day, or the next business day, of the preceding calendar month. As of January 1, 2019, the one-month LIBOR rate is 2.51%. Variable interest rates range from 4.48%-12.45% (4.48%-12.35% APR) and will fluctuate over the term of the loan with changes in the LIBOR rate, and will vary based on applicable terms, level of degree earned and presence of a cosigner. Fixed interest rates range from 5.25%-12.19% (5.25% - 12.09% APR) based on applicable terms, level of degree earned and presence of a cosigner. Lowest rates shown requires application with a cosigner, are for eligible applicants, require a 5-year repayment term, borrower making scheduled payments while in school and include our Loyalty and Automatic Payment discounts of 0.25 percentage points each, as outlined in the Loyalty Discount and Automatic Payment Discount disclosures. Subject to additional terms and conditions, and rates are subject to change at any time without notice. Such changes will only apply to applications taken after the effective date of change. Please note: Due to federal regulations, Citizens Bank is required to provide every potential borrower with disclosure information before they apply for a private student loan. The borrower will be presented with an Application Disclosure and an Approval Disclosure within the application process before they accept the terms and conditions of the loan.

Citizens Bank Student Loan Eligibility: Borrowers must be enrolled at least half-time in a degree-granting program at an eligible institution. Borrowers must be a U.S. citizen or permanent resident or an international borrower/eligible non-citizen with a creditworthy U.S. citizen or permanent resident co-signer. For borrowers who have not attained the age of majority in their state of residence, a co-signer is required. Citizens Bank reserves the right to modify eligibility criteria at anytime. Interest rate ranges subject to change. Citizens Bank private student loans are subject to credit qualification, completion of a loan application/consumer credit agreement, verification of application information, and if applicable, self-certification form, school certification of the loan amount, and student’s enrollment at a Citizens Bank- participating school.

Please Note: International Students are not eligible for the multi-year approval feature.

Loyalty Discount Disclosure: The borrower will be eligible for a 0.25 percentage point interest rate reduction on their loan if the borrower or their co-signer (if applicable) has a qualifying account in existence with us at the time the borrower and their co-signer (if applicable) have submitted a completed application authorizing us to review their credit request for the loan. The following are qualifying accounts: any checking account, savings account, money market account, certificate of deposit, automobile loan, home equity loan, home equity line of credit, mortgage, credit card account, or other student loans owned by Citizens Bank, N.A. Please note, our checking and savings account options are only available in the following states: CT, DE, MA, MI, NH, NJ, NY, OH, PA, RI, and VT and some products may have an associated cost. This discount will be reflected in the interest rate disclosed in the Loan Approval Disclosure that will be provided to the borrower once the loan is approved. Limit of one Loyalty Discount per loan and discount will not be applied to prior loans. The Loyalty Discount will remain in effect for the life of the loan.

Automatic Payment Discount Disclosure: Borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their student loans owned by Citizens Bank, N.A. during such time as payments are required to be made and our loan servicer is authorized to automatically deduct payments each month from any bank account the borrower designates. Discount is not available when payments are not due, such as during forbearance. If our loan servicer is unable to successfully withdraw the automatic deductions from the designated account three or more times within any 12-month period, the borrower will no longer be eligible for this discount.

Co-signer Release: Borrowers may apply for co-signer release after making 36 consecutive on-time payments of principal and interest. For the purpose of the application for co-signer release, on-time payments are defined as payments received within 15 days of the due date. Interest only payments do not qualify. The borrower must meet certain credit and eligibility guidelines when applying for the co-signer release. Borrowers must complete an application for release and provide income verification documents as part of the review. Borrowers who use deferment or forbearance will need to make 36 consecutive on-time payments after reentering repayment to qualify for release. The borrower applying for co-signer release must be a U.S. citizen or permanent resident. If an application for co-signer release is denied, the borrower may not reapply for co-signer release until at least one year from the date the application for co-signer release was received. Terms and conditions apply. Borrowers whose loans were funded prior to reaching the age of majority may not be eligible for cosigner release. Note: Co-signer release is not available on the Student Loan for Parents or Education Refinance Loan for Parents.

Citizens Bank Student Loan for Parents Eligibility Information: Borrowers must be a creditworthy U.S. citizen or permanent resident residing in the U.S. and must have attained the age of majority in their state of residence. The student whose education expenses will be paid for with the loan proceeds must be a U.S. citizen or permanent resident and must be enrolled at least half-time in a degree granting program at a Citizens Bank-participating school. Citizens Bank reserves the right to modify eligibility criteria at anytime. Interest rate ranges subject to change. Citizens Bank private student loans are subject to credit qualification, completion of a loan application/consumer credit agreement, verification of application information, and if applicable, self-certification form, school certification of the loan amount, and student’s enrollment at a Citizens Bank-participating school.

Multi-year approval funds available for future use are subject to a soft credit inquiry at time of your next request to verify continued eligibility. After we make the initial Loan to you, we may refuse to allow you to take out additional loans under the multi-year approval feature, terms and conditions will be outlined in your promissory note. Please Note: International students are not eligible to receive an offer for multi-year approval.

*Average savings are calculated using the 2016/2017 Award Year Federal Direct PLUS Loan program reporting (as of 5/03/2017 for quarter ending 12/31/2016 not including Grad PLUS) of originations of ~$11.1 billion to 740,097 borrowers through 769,597 loans with an average loan size of $15,035.30. Average fee savings is possible with either private student loan option we offer, including the Citizens Bank Student Loan® or the Citizens Bank Student Loan® for Parents.

Education Refinance Loan Rate Disclosure: Variable rate, based on the one-month London Interbank Offered Rate ("LIBOR") published in The Wall Street Journal on the twenty-fifth day, or the next business day, of the preceding calendar month. As of January 1, 2019, the one-month LIBOR rate is 2.51%. Variable interest rates range from 3.01%-9.75% (3.01%-9.75% APR) and will fluctuate over the term of the borrower's loan with changes in the LIBOR rate, and will vary based on applicable terms, level of degree earned and presence of a cosigner. Fixed interest rates range from 3.90%-9.99% (3.90%-9.99% APR) based on applicable terms, level of degree earned and presence of a cosigner. Lowest rates shown are for eligible, creditworthy applicants with a graduate level degree, require a 5-year repayment term and include our Loyalty discount and Automatic Payment discounts of 0.25 percentage points each, as outlined in the Loyalty and Automatic Payment Discount disclosures. The maximum variable rate on the Education Refinance Loan is the greater of 21.00% or Prime Rate plus 9.00%. Subject to additional terms and conditions, and rates are subject to change at any time without notice. Such changes will only apply to applications taken after the effective date of change. Please note: Due to federal regulations, Citizens Bank is required to provide every potential borrower with disclosure information before they apply for a private student loan. The borrower will be presented with an Application Disclosure and an Approval Disclosure within the application process before they accept the terms and conditions of their loan.

Loyalty Discount Disclosure: The borrower will be eligible for a 0.25 percentage point interest rate reduction on their loan if the borrower or their co-signer (if applicable) has a qualifying account in existence with us at the time the borrower and their co-signer (if applicable) have submitted a completed application authorizing us to review their credit request for the loan. The following are qualifying accounts: any checking account, savings account, money market account, certificate of deposit, automobile loan, home equity loan, home equity line of credit, mortgage, credit card account, or other student loans owned by Citizens Bank, N.A. Please note, our checking and savings account options are only available in the following states: CT, DE, MA, MI, NH, NJ, NY, OH, PA, RI, and VT and some products may have an associated cost. This discount will be reflected in the interest rate disclosed in the Loan Approval Disclosure that will be provided to the borrower once the loan is approved. Limit of one Loyalty Discount per loan and discount will not be applied to prior loans. The Loyalty Discount will remain in effect for the life of the loan.

Automatic Payment Disclosure: Borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their student loans owned by Citizens Bank, N.A. during such time as payments are required to be made and our loan servicer is authorized to automatically deduct payments each month from any bank account the borrower designates. Discount is not available when payments are not due, such as during forbearance. If our loan servicer is unable to successfully withdraw the automatic deductions from the designated account three or more times within any 12-month period, the borrower will no longer be eligible for this discount.

*Average savings based on 18,113 actual customers who refinanced their federal and private student loans through our Education Refinance Loan between January 1, 2017 and December 31, 2017. The calculation is derived by averaging the monthly savings of Education Refinance Loan customers whose payments decreased after refinancing, which is calculated by taking the monthly student loan payments prior to refinancing minus the monthly student loan payments after refinancing. The borrower’s savings might vary based on the interest rates, balances and remaining repayment term of the loans they are seeking to refinance. The borrower’s overall repayment amount may be higher than the loans they are refinancing even if their monthly payments are lower.